SandRidge Has Paid $9.5 Million to CEO’s Companies

SandRidge Energy Inc. (SD) has paid $9.5
million since 2008 to companies controlled by Chief Executive
Officer Tom Ward and his family, according to shareholder TPG-
Axon Capital Management LP.

SandRidge, based in Oklahoma City, has paid $3.9 million to
TLW Land & Cattle LP, a Ward business, and $5.6 million to WCT
Resources LLC, run by Ward’s son Trent, for royalties and
leases, according to a slide presentation posted by TPG-Axon
today. The figures include data from SandRidge’s public filings
since 2008.

The fund, which owns 6.7 percent of SandRidge, has accused
the Wards of improperly profiting by buying oil and natural-gas
leases and selling them weeks or months later to SandRidge. TPG-
Axon, based in New York and run by former Goldman Sachs Group
Inc. partner Dinakar Singh, is asking shareholders to remove
Ward and replace SandRidge’s board.

SandRidge has said TPG’s nominees lack industry experience
and electing them may trigger change-in-control provisions
linked to its debt. The company said last week that TPG-Axon
“has repeatedly made inflammatory and false statements” with
the goal of taking control of the company and restructuring or
selling it.